ConocoPhillips Eyes Venezuelan Assets, Warns of June-July Oil Shortages
COP•ConocoPhillips is evaluating reactivating Venezuelan oil assets previously written off, aiming to bolster its reserves as global supply tightens. CFO Andy O’Brien warned naval blockades of Iranian ports could trigger critical shortages by June-July, supporting record US crude export growth.
1. COP Reviews Venezuelan Assets
ConocoPhillips is reassessing previously written-off concessions in Venezuela, evaluating reactivation of mature fields and potential joint ventures to enhance its reserve base and diversify supply as global markets tighten.
2. CFO Warns Critical Shortages
Chief Financial Officer Andy O’Brien cautioned that continued naval blockades of Iranian ports could lead to critical supply shortages in import-dependent nations by June-July, likely sustaining elevated crude prices and boosting upstream margins.
3. US Export Surge and Price Impact
US crude exports reached a record high as global buyers replace Middle East barrels, narrowing the gap between futures and physical prices and underpinning stronger cash margins for ConocoPhillips.
